The ECB will announce its April monetary policy decision today
Equities roared back in trading yesterday, though US futures are a touch more tepid today, but the Bank of Canada stole the spotlight with the loonie soaring higher as the central bank began their tapering process with a more hawkish tone overall.
It certainly poses an interesting question to other major central banks, particularly the Fed, but don’t expect the ECB to take any steps in the same direction today.
Treasury yields are keeping slightly on the retreat still, with 10-year yields slipping to 1.53% though major currencies are little changed overall and holding in narrow ranges.
EUR/USD keeps at 1.2030 levels in a 15 pips range while USD/JPY is hugging the 108.00 handle still with large option expiries seen around the figure level through to 108.40.
There isn’t much else on the agenda in the session ahead so expect things to be more quiet as risk flows and technicals are still the dominant factors this week. However, we may only see things pick up in US trading once again in the day to come.
0600 GMT – Switzerland March trade balance data
0645 GMT – France April business confidence
1000 GMT – UK April CBI trends total orders, selling prices
1145 GMT – ECB announces its April monetary policy decision
That’s all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.